Hilton Worldwide Holdings Inc (HLT)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 2,225,000 | 2,329,000 | 2,299,000 | 2,223,000 | 2,094,000 | 1,923,000 | 1,732,000 | 1,358,000 | 1,010,000 | 482,000 | 61,000 | -465,000 | -418,000 | 125,000 | 633,000 | 1,413,000 | 1,657,000 | 1,671,000 | 1,537,000 | 1,465,000 |
| Total assets | US$ in thousands | 15,401,000 | 15,200,000 | 15,297,000 | 15,211,000 | 15,512,000 | 15,508,000 | 15,382,000 | 15,459,000 | 15,441,000 | 15,314,000 | 15,090,000 | 15,974,000 | 16,755,000 | 17,129,000 | 17,126,000 | 15,788,000 | 14,957,000 | 15,067,000 | 15,140,000 | 14,853,000 |
| Operating ROA | 14.45% | 15.32% | 15.03% | 14.61% | 13.50% | 12.40% | 11.26% | 8.78% | 6.54% | 3.15% | 0.40% | -2.91% | -2.49% | 0.73% | 3.70% | 8.95% | 11.08% | 11.09% | 10.15% | 9.86% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $2,225,000K ÷ $15,401,000K
= 14.45%
Hilton Worldwide Holdings Inc's operating return on assets (ROA) has shown a consistent and positive trend over the past eight quarters. The operating ROA has steadily increased from 8.97% in Q1 2022 to 15.03% in Q2 2023, indicating that the company has been successful in generating operating income relative to its assets.
This improving trend suggests that Hilton Worldwide Holdings Inc has been effectively utilizing its assets to generate operating profits. The company's ability to achieve higher operating ROA numbers over time reflects efficiency in managing its assets and operations. This may be driven by factors such as increased revenue, improved cost management, or higher asset turnover.
Overall, the increasing trend in operating ROA for Hilton Worldwide Holdings Inc is a positive sign of the company's operational performance and financial health. It indicates that the company is generating a higher return on its assets, which is an essential metric for investors and stakeholders to assess the company's profitability and efficiency.
Peer comparison
Dec 31, 2023